About Me

I believed that stuff we were taught in high school back in the days before "Social Studies" supplanted history, geography and civics.
I really don't want to talk only about political things. I really want merely to be left alone to follow my own way.

Log

Wednesday, February 13, 2013

Supply Side Economics

The Laffer curve is very simple really, and despite what the idiots on the TV networks say, is very real. It affects our own decision making in a very real way.
The theorum is simply put "the is a point ot tax rate beyond which revenue falls off as taxpayers become discouraged and withdraw from whatever activity they were persuing to create their income. The press may not believe it, but no less a
personage than the President of the United States, Barack Obama, does. He stated as much in his first campaign in 2008.
This burden is a sum of all their burdens, not just the Federal Income tax. The burden includes (but is not limited to) all Federal, State, and local taxes and fees; the cost of tax compliance and reporting; and the burden of regulators, inspections, and compliance with an ever-changing morass of enigmatic rules.
We the people are buckling one-by-one under this burden. Some of us are retiring on pension, some of us retiring early to take pension later, people take partial Social Security at 62 instead of the full amount at 66, many are going on marginally deserved disability, many have moved into the underground economy, many are persuing a life of crime, our children live at home and do not persue employment, and many people are just walking away from employment altogether.

Those in charge either don't recognize what they see or see this as a desirable end.

When I hear tha North Korea has both an Inter-Continental Ballistic Missile and a fission nuclear weapon, I think of the back cover of the November 1968 issue of Mad Magazine (above). Kim Jong-Un only needs one well placed missile to set off all the rest of the bombs in the world.